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Atrium Mortgage Investment Corporation Completes $25 Million Public Offering of Convertible Unsecured Subordinated Debentures
Toronto, Ontario--(Newsfile Corp. - March 29, 2019) - Atrium Mortgage Investment Corporation (...
About this update from Atrium Mortgage Investment Corp.
[{"type":"text","content":"Atrium Mortgage Investment Corporation Completes $25 Million Public Offering of Convertible Unsecured Subordinated DebenturesToronto, Ontario--(Newsfile Corp. - March 29, 2019) - Atrium Mortgage Investment Corporation (TSX: AI) (\"Atrium\") is pleased to report that it has closed its previously announced public offering of $25 million aggregate principal amount of 5.60% convertible unsecured subordinated debentures of Atrium due March 31, 2025 with a syndicate of underwriters bookrun by TD Securities Inc. and RBC Capital Markets and co-led by CIBC Capital Markets, and including BMO Capital Markets, National Bank Financial Inc., Scotiabank, Canaccord Genuity Corp., Industrial Alliance Securities Inc. and Raymond James Ltd. Atrium has granted the underwriters an over-allotment option to purchase up to an additional $3.75 million aggregate principal amount of debentures, exercisable in whole or in part at any time for a period of up to 30 days following today's closing.The debentures will trade on the Toronto Stock Exchange under the symbol \"AI.DB.E\".Atrium will use the net proceeds of the offering to repay, at maturity, the principal amount and accrued interest on Atrium's 6.25% convertible unsecured subordinated debentures due March 31, 2019 and/or repay existing indebtedness under its revolving operating credit facility, which will then be available to be drawn, as required, for general corporate purposes, particularly funding future mortgage loan opportunities.The debentures mature on March 31, 2025 and accrue interest at the rate of 5.60% per annum payable semi-annually in arrears on the last day of March and September in each year, commencing September 30, 2019. At the holder's option, the debentures may be converted into common shares of Atrium at any time prior to the close of business on the earlier of the business day immediately preceding the maturity date and the business day immediately preceding the date fixed for redemption of the debentures. The conversion price is $14.75 for each common share, subject to adjustment in certain circumstances.The debentures are direct, unsecured obligations of Atrium, subordinated to other senior indebtedness of Atrium, ranking pari-passu to Atrium's existing 6.25% convertible unsecured subordinated debentures due March 31, 2019, 5.25% convertible unsecured subordinated debentures d...